Should You Forget Apple and Buy These 3 Tech Stocks Instead?

right now Apple (AAPL 0.50%) it is the largest company in the world by market capitalization. However, investors need to be aware of some issues under the hood.

Instead of Apple, I think there are much better buys right now, including Nvidia (NVDA 1.69%), Alphabet (GOOG 0.81%) (GOOGL 0.72%)and Meta platforms (META 2.26%). These three offer a significant long-term advantage that should allow them to outperform Apple.

What’s going on with Apple?

Apple has topped the list of the world’s largest companies with shockingly low revenue growth. iPhone sales have not grown significantly since the start of the pandemic, and investors have high hopes for the iPhone 16 to be the generation that turns it around, mainly due to the integration of Apple Intelligence. But the latest reports say its sales are below expectations, which could spell disaster for the stock.

It trades at 34 times trailing earnings and 31 times forward earnings. That’s a premium investors would expect to pay for a fast-growing company.

AAPL PE Report Data by YCharts; PE = price to earnings.

In Apple’s most recent quarter, however, sales rose just 4.9% and earnings per share (EPS) rose 10.2%. These are not numbers that support the stock’s high valuation.

The immediate future looks a little better, but not enough to justify today’s price. In fiscal 2025, which ends on September 30, 2025, Wall Street expects 8% higher revenue and 17% EPS growth. Compared to the next three options, Apple stock doesn’t look attractive.

These tech stocks look set to outperform Apple over the next few years

Instead, I’d urge you to consider the Nvidia, Alphabet, and Meta platforms (and many other companies as well).

Let’s start with Nvidia. Its graphics processing units (GPUs) power artificial intelligence (AI), and demand doesn’t seem to be slowing down anytime soon.

Alphabet is the parent company of Google, and its market dominance among search engines has allowed it to capitalize on advertising in one of the most profitable areas of the Internet.

Meta Platforms is the parent of social media sites like Facebook and Instagram and also makes a lot of money from advertisements on its platforms.

All three of these companies far outpace Apple in revenue and EPS growth.

NVDA operating income (quarterly YoY growth), data by YCharts; YoY = year over year.

Despite doing substantially better than Apple, the two of them don’t command a premium compared to it, while Nvidia isn’t much more expensive.

NVDA PE report (forward); data by YCharts.

As an investor, I look for companies with sustainable business models, faster growth and lower stock valuations. Compared to Apple, both Meta and Alphabet pull this off, so buying the two instead makes a lot of sense.

Nvidia is not cheaper now, but its prospects are much more profitable. While its days of growing revenue at a triple-digit pace are over, if it maintains its current pace, it will still have impressive growth.

In the second quarter of 2025 (ended July 28), Nvidia grew revenue by 15% sequentially, and its projections for the third quarter indicate that sales will increase by another 8.3% from the previous period. Apple can’t muster that kind of growth year over year, but Nvidia does quarter after quarter.

If the stock price doesn’t move, this will quickly lower Nvidia’s valuation. However, with AI being such a hot investment topic, the stock will continue to be strong and likely maintain its premium over other tech stocks.

As a result, its stock’s performance will be closely tied to revenue and EPS growth, allowing it to easily outperform the iPhone maker.

Apple is a great company, but it’s not the craze it used to be. Investors should start looking for other investment opportunities.